GBP/USD to extend the decline to the 1.3600 level – OCBC

The GBP/USD pair has breached key downside support and may extend the fall to the 1.3610/00 neighborhood, economists at OCBC bank report.

Key quotes

“The GBP/USD lost the 1.3800 support quickly overnight, and the initial attempt to retake it failed. This perhaps points to further downside, and the next target may be the 1.3600/10 area.” 

“Pace of vaccination in the UK is likely to slow, and this should lead to a partial reversal in GBP gains since 4Q 2020.”